Lively, who worked with Allen in his latest film "Cafe Society", said she finds the filmmaker to be "empowering" in an interview with Hamptons magazine.
The actress enjoyed collaborating with the 80-year-old director on the sets of the movie, which is set against the backdrop of 1930s Hollywood.
"It's really cool to work with a director who's done so much, because he knows exactly what he wants," she told the magazine.
Lively, 28, praised Allen's ability to build confidence in his actors and create a relaxed atmosphere for them to improvise scenes.
"And his dialogue is so specific, and it's speaking in a 1930s dialect and (with period) references, so it's intimidating to think, 'Oh, let me just improvise there and hope that my words blend seamlessly alongside Woody Allen's.' Which they clearly wouldn't and don't. But he's very empowering," she said.
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